Matt England from RING discussed the process of developing electronic products in Asia and getting it to mass production. From identifying capable factories to demystifying working with Asian suppliers, this candid talk gave a behind-the-scenes look at developing, building and shipping a physical product from Asia.
9. Spec the Product
• Any standards to meet?
• What are the core features & integrations
• Power source & run time required
• Technical Specs & compatibility
• UX interaction
• Rough Size and Shape Target
• Should develop concept ID (Industrial Design) once above is set
10. Networking to Suppliers
• Distributors can help identify factories they supply / work with
• If working with other partners, ask for referrals
• With top 2-3 factories, prepare for several rounds of discussion
• Make sure they have produced something similar before!
• Don’t be their Guinea pig
• Ensure they have testing capabilities & strong QC procedures
• Balance Price, Performance, and Speed in choosing Partner
11. Finding Suppliers
• Know your build qty and sophistication of factory required
• When possible, avoid Alibaba & sourcing sites
• Most are trading companies - stay away from Trading Companies!
• Check “Consortium Member” Lists for Manufacturer Info
• When possible, go to a Trade Show to find suppliers
12. HK / China Trade Shows
• Trade Shows are the best place to meet true factories.
• Global Sources show in HK for Electronics, in April & Oct
• **Korea, Taiwan, & Japan all present here
• Canton Fair in China for (Literally) Everything, in April-May & Oct
• Bring lots of business cards
• try to avoid handing them out like candy
• Take photos of products with business card next to it
• first ask permission – this helps avoid carrying endless catalogs
• Be prepared to break your fitbit record
13. Starter Questions to Ask
• Have they developed similar products?
• How many engineers do you have in X, Y, Z areas?
• What is the MOQ (Minimum Order Qty)?
• How long will this product take to develop with your team?
• What are the development costs outside tooling & certs?
• Will they amortize the cost across X-many units?
• (usually after several shipping products & good relationship)
• FOB HK or FOB US = “Freight (or Free) on Board”
• Where does the inventory change hands?
14. Development with Partner(s)
• Create / Understand the Schedule!
• Be the leader!
• Drive the conversations & ask the right questions.
• DON’T BE THE BOTTLENECK
• Ensure tasks have task owners – hold them accountable
• Design manufacturable parts! Get quotes early & often
• Pull out uncertainty wherever possible
15. Test All Assumptions
• “Anything (not tested) that can go wrong, will go wrong”
• Don’t leave things to chance
• Specific, quick tests on open (?) can save time & heartache
• Beta test units in the real world!
• Thoroughly test all functionality, RF and the power budget
• If possible, have manufacturing firmware developed by MFG
(checking hardware on the line) to avoid holding up builds.
16. Test All Aspects
• Make sure to test enough units; a dozen for simple products, 100+ for
complex
• Test all use cases, fringe use cases & points of failure
• If ever a failure or odd behavior, get them to replicate the conditions & error.
Make them prove how/why/where the unit failed.
• Test the packaging!
• Give time for all certifications required
• Common certs need 15-30 days, some much longer than that.
17. (Before you) Ship!
• DHL is the most efficient way to get samples or small production qty;
Fedex is common but more expensive.
• Containers take ~30 days; ~$800 of paperwork; charge by volume
• Air takes 2-4 days, minimum of ~$60 & charges by pound
• As general rule of thumb for Units (in electronics / accessories):
• 3k is MOQ for a factories “off the shelf” design
• 5-10k is MOQ for simple board re-spin w/ new enclosure
• 15k+ MOQ needed for significant hardware/firmware development
• Make sure there is a sales strategy to move those units
• Be ware of factors that can make your product obsolete.
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